2. Solow-Swan Model (4 marks). You will demonstrate the importance of diminishing returns to capital in the SolowSwan model. Draw a SolowSwan diagram in which there are constant returns to capital. This would happen if the production function were Y; = AKt. Furthermore, assume that the sum of population growth and the depreciation rate is less than the saving rate. Does the economy converge to a steady state in this case? To answer this question, you should draw a SolowSwan diagram in terms of output per person, as we did in class. Use this diagram to explain why the economy converges to a steady state or not